The Allan Labor Government is making sure Victorians are protected and treated fairly - with owners corporation laws set to be reviewed.
Minister for Consumer Affairs Nick Staikos today announced an independent expert panel would review the Owners Corporations Act - to ensure it is working fairly and efficiently, and in the interests of lot owners and residents in strata developments.
One in four Victorians live in developments that are overseen by an owners corporation. This number is expected to increase significantly in coming years.
The expert panel will examine stakeholder concerns related to owners corporations, including hardship arrangements where a lot owner is having trouble paying fees, as well as voting requirements among lot owners.
The review will examine unethical owners corporations management conduct, including dishonest business practices, unfair contracts, conflicts of interest, and inappropriate commissions or 'kickbacks'.
Issues around the collective sale of owners corporations will also be considered. Currently, common property owned by an owners corporation can only be sold if all lot owners agree. The review will examine whether this threshold is appropriate.
The review will also look at whether amendments made in 2019 to the Act - to help manage bad behaviour in short-stay accommodation - are working effectively.
The expert panel will consult the Victorian community, including those living in owners corporations, and other stakeholders to inform its report. Consultation will occur through Engage Victoria and start later this year. The panel will also consider other methods for the community to engage with the review.
The Chairperson of the expert panel is Marsha Thomson, a former Minister for Consumer Affairs between 1999 and 2002, and 2005 to 2006. The other two members of the expert panel will be announced in due course.
The panel will provide a report to the Minister for Consumer Affairs by December 2025.
As stated by Minister for Consumer Affairs Nick Staikos
"Significant reforms were made to laws in 2021 to better reflect the needs of Victorians living in apartments and other owners corporations properties - this expert panel will ensure those reforms are strengthened and improved even further."
"One in four Victorians live in a property managed by an owners corporation - this review will ensure their needs and quality of life continue to be protected."
"The expert panel will also review provisions in the OC Act that regulate short stay accommodation in strata developments, helping to deliver essential protections for apartment residents."
